Between 54-87% of retail CFD accounts lose money. Based on 69 brokers who display this data.
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BrokerDNA™
The BROKERDNA™ score tells you, overall, how reputable, suitable, and affordable a broker is compared to other brokers. This score is algorithmically-generated based on 31 factors. Neither our team, nor the brokers featured on our site, are able to change this without changing their service offering. Learn more here. |
FXCM
9.2
/10
VISIT FXCM
The BROKERDNA™ score tells you, overall, how reputable, suitable, and affordable a broker is compared to other brokers. This score is algorithmically-generated based on 31 factors. Neither our team, nor the brokers featured on our site, are able to change this without changing their service offering. Learn more here. |
Pepperstone
9.3
/10
VISIT PEPPERSTONE
The BROKERDNA™ score tells you, overall, how reputable, suitable, and affordable a broker is compared to other brokers. This score is algorithmically-generated based on 31 factors. Neither our team, nor the brokers featured on our site, are able to change this without changing their service offering. Learn more here. |
AvaTrade
9.7
/10
VISIT AVATRADE
The BROKERDNA™ score tells you, overall, how reputable, suitable, and affordable a broker is compared to other brokers. This score is algorithmically-generated based on 31 factors. Neither our team, nor the brokers featured on our site, are able to change this without changing their service offering. Learn more here. |
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About |
FXCM is regulated by the Financial Conduct Authority and NFA. FXCM have provided Forex trading services since 1999. |
Pepperstone is regulated by ASIC. Pepperstone have provided Forex trading services since 2010. |
AvaTrade is regulated by the Central Bank of Ireland, ASIC (Australia), FSA (Japan), FSB (South Africa) and BVI. AvaTrade have provided Forex trading services since 2006. |
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Why choose them? |
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Headquarters | NY, USA | Melbourne, Australia | Dublin, Ireland | |
TRADING SERVICES OFFERED |
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Spot Forex | ||||
Forex (CFD) | ||||
CFD | ||||
Spread Betting | ||||
Social Trading | ||||
MARKETS & INSTRUMENTS | ||||
Forex (currency pairs) | 39 | 61 | 59 | |
Commodities Offered | 0 | 12 | 16 | |
Stocks Offered | 0 | 60 | 99 | |
Bitcoin | ||||
Majors | ||||
Indices | ||||
US Stocks | ||||
Penny stocks | ||||
Energies | ||||
Metals | ||||
Agriculturals | ||||
FTSE | ||||
Dow Jones | ||||
Dax | ||||
Nikkei | ||||
ETFs | ||||
IPO | ||||
See all instruments
79.79% of retail investor accounts lose money when trading CFDs with this provider. |
See all instruments
78% of Pepperstone Limited’s retail investor accounts lose money when trading CFDs |
See all instruments
71% of retail investor accounts lose money when trading CFDs with this provider. |
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PLATFORM & FEATURES |
See the platforms and features offered by each broker |
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Screenshot |
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MT4 | ||||
MT5 | ||||
MT4 Mac | ||||
WebTrader | ||||
Mirror Trader | ||||
ZuluTrade | ||||
Sirix | ||||
cTrader | ||||
PAMM | ||||
Custom Platforms | No | No | AvaTradeAct, AVAOptions | |
APPS |
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iOS |
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Android |
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Windows |
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Available Languages |
English, Italian, Spanish, German, Russian, French, Portuguese, Hebrew, Arabic, Chinese, Japanese, and Urdu |
English, Spanish, Polish, Chinese, Japanese, Korean, Vietnamese, and Arabic |
English, Italian, German, French, Greek, Hebrew, Spanish, Arabic, Malay, Russian, Chinese, Portuguese and Dutch |
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See platform & features
79.79% of retail investor accounts lose money when trading CFDs with this provider. |
See platform & features
78% of Pepperstone Limited’s retail investor accounts lose money when trading CFDs |
See platform & features
71% of retail investor accounts lose money when trading CFDs with this provider. |
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ACCOUNT INFORMATION |
From micro accounts to ECN accounts, compare the accounts offered by FXCM and Pepperstone |
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Demo account | ||||
Mini account | ||||
Micro account | ||||
Standard account | ||||
ECN Account | ||||
Islamic account | ||||
Zero spread account | ||||
VIP account | ||||
Fixed spreads | ||||
Variable spreads | ||||
See account options
79.79% of retail investor accounts lose money when trading CFDs with this provider. |
See account options
78% of Pepperstone Limited’s retail investor accounts lose money when trading CFDs |
See account options
71% of retail investor accounts lose money when trading CFDs with this provider. |
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TRADING CONDITIONS |
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Scalping | ||||
Hedging | ||||
Expert advisors (EAs) | ||||
Virtual private server | ||||
Direct market access | ||||
STP broker | ||||
Market maker | ||||
Min trade | Varies | 0.01 Lot | 0.01 Lot | |
Max trade | Varies | None | None | |
Min deposit | $1 | $200 | $100 | |
RISK MANAGEMENT |
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Stop losses | ||||
Limit orders | ||||
One-click trading | ||||
Trailing stops | ||||
Price alerts | ||||
Signal trading | ||||
FUNDING METHODS |
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Credit card | ||||
Bank transfer | ||||
Standard account | ||||
Paypal | ||||
Neteller | ||||
Skrill | ||||
Payment processing time | 1 business day | Varies | Varies | |
Withdrawal processing time | 1-2 business days | Varies | Varies | |
See all funding options
79.79% of retail investor accounts lose money when trading CFDs with this provider. |
See all funding options
78% of Pepperstone Limited’s retail investor accounts lose money when trading CFDs |
See all funding options
71% of retail investor accounts lose money when trading CFDs with this provider. |
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DETAILED INFO |
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Excluded countries | KR, IR, IQ, SY, JP, US | KR, IR, IQ, SY, JP, US | BE,BR,NZ,US,KE,IN,GH | |
Contact email | Send Email | Send Email | Send Email | |
Phone number | +44 02073984050 | 61 3 9020 0155 | (44) (0) 8005200423 | |
Live Chat | ||||
Website | https://www.fxcm.com/ | https://pepperstone.com/ | http://www.avatrade.com/ | |
Spreads: | ||||
EUR/USD (Average: 0.7 pips) | 1.4 pips + $8.00 | 0.13 pips + $5.00 | 0.9 pips | |
GBP/USD (Average: 1.1 pips) | 1.2 pips + $8.00 | 0.49 pips + $5.00 | 1.6 pips | |
USD/JPY (Average: 1.1 pips) | 1.6 pips + $8.00 | 0.25 pips + $5.00 | 1.1 pips | |
AUD/USD (Average: 0.8 pips) | 0.8 pips + $8.00 | 0.27 pips + $5.00 | 1.1 pips | |
USD/CHF (Average: 2.3 pips) | 1.9 pips + $8.00 | 0.64 pips + $5.00 | 1.6 pips | |
USD/CAD (Average: 2.9 pips) | 2.2 pips + $8.00 | 0.47 pips + $5.00 | 2.0 pips | |
NZD/USD (Average: 3.6 pips) | 2.1 pips + $8.00 | 1.1 pips + $5.00 | 1.8 pips | |
EUR/GBP (Average: 2.4 pips) | 2.4 pips + $8.00 | 1.0 pips + $5.00 | 1.5 pips | |
View all spreads
79.79% of retail investor accounts lose money when trading CFDs with this provider. |
View all spreads
78% of Pepperstone Limited’s retail investor accounts lose money when trading CFDs |
View all spreads
71% of retail investor accounts lose money when trading CFDs with this provider. |
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FEES |
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Inactivity Fee | No | No | No | |
Commission | 0.08% per share charge per side | Yes | No | |
Deposit Fee | No | No | No | |
Withdrawal Fee | Varies | No | No | |
View All Fees
79.79% of retail investor accounts lose money when trading CFDs with this provider. |
View All Fees
78% of Pepperstone Limited’s retail investor accounts lose money when trading CFDs |
View All Fees
71% of retail investor accounts lose money when trading CFDs with this provider. |
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Featured In | Best Brokers For IndicesBest FTSE100 BrokersBest Dow Jones BrokersBest DAX BrokersBest FCA Regulated Brokers | Best cTrader BrokersBest Brokers For CocoaBest Brokers For MetalsBest Dow Jones BrokersBest DAX Brokers | Best MT4 BrokersBest Bitcoin BrokersBest Ethereum BrokersBest Ripple BrokersBest Litecoin Brokers | |
Last update |
All information collected from https://www.fxcm.com/. Last updated on 01/12/2019. |
All information collected from https://pepperstone.com/. Last updated on 01/12/2019. |
All information collected from http://www.avatrade.com/. Last updated on 01/12/2019. |
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Company |
Since 1999, FXCM (AKA FXCM) have become one of the most popular forex brokers, with over 220,000 active accounts. In 2014 alone, their retail trading volume exceeded $4 trillion. If you are looking for a reputable broker with low spreads, FXCM are a great option. |
Pepperstone provide a trading platform for retail and institutional investors looking for a broker that provides fast execution, reliable technology, award winning customer service all at superior competitive pricing. |
Since 2006, Avatrade have attracted over 20,000 traders to their platform. While their spreads are not the most competitive, they do offer traders a range of great features, such as guaranteed stop losses, the ability to hedge / scalp, and low margins. |
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Popular comparisons |
Popular comparisons feat. FXCM
ETX Capital vs FXCM |
Popular comparisons feat. Pepperstone
Pepperstone vs IC Markets |
Popular comparisons feat. AvaTrade
Avatrade vs LCG |
If you’re a trader looking for a broker that has been established for a long time, FXCM is likely a good choice. However, if you want a broker with a large range of instruments available to trade, Pepperstone may be more suitable.
You can determine a broker’s reliability & trustworthiness by looking at eight factors:
Based on these eight factors, we consider FXCM to be the more reliable broker. We’ve broken down why below:
FXCM is regulated by Financial Conduct Authority, while Pepperstone is regulated by Financial Conduct Authority,UK and ASIC.
AvaTrade are regulated by Central Bank of Ireland, ASIC, IIROC, FSA, FSB, UAE and BVI
If a broker has been around for a long period of time, they’re likely to be more reliable (in comparison, most scam brokers only exist for several years before they disappear).
This also suggests that a broker has good risk management processes that have prevented them being caught out by major financial events, as was the case with Alpari UK going bust when they were there was a policy reversal of capping the Swiss Franc against the Euro.
FXCM has been around for 20 years, while Pepperstone have been around for 9 years. Our third alternative broker, AvaTrade, have been around for 13 years.
You wouldn’t want your broker paying their staff out of the same bank account account that you’re depositing your trading funds into, would you?
Fortunately, all regulated brokers must use segregated bank accounts to hold client money. This is one of the reasons why we only feature regulated brokers here on BrokerNotes.
All three brokers above will hold your money in a separate bank account.
Most tier-1 banks like Barclays and HSBC have been around for over 100 years and manage trillions of dollars of assets, proving that they have stood the test of time.
Both FXCM and Pepperstone use tier one banks, but we are not sure of which bank specifically.
If a broker has been penalised by a regulator in the past five years, it may mean that they were caught doing something they shouldn’t be doing - which may be of concern to you as an end client.
We’re not aware of any penalties or fines imposed by regulators on FXCM or Pepperstone in the past five years.
While not always the case, the number of traders a broker has can be a good metric for understanding how reputable a brokers is.
Companies that are publicly listed on a stock exchange tend to be considered more reputable as they will be required to disclose their financials, and aspects of their operations, to the public.
FXCM is a publicly listed company, while on the other hand Pepperstone is still a privately owned company.
Most reputable brokers tend to be headquartered in a major capital city or a financial hub such as Cyprus.
FXCM are based in NY, USA, while Pepperstone are based in Melbourne, Australia .
Assuming the brokers you’re choosing between are reputable, the next point to consider is whether they offer all of the features you require to trade.
This can be broken down into three categories:
If you’re looking to trade currency pairs, both FXCM and Pepperstone offer forex trading. Pepperstone have a slightly larger variety of currency pairs with 61 pairs, compared to 39 offered by FXCM. Also, if you’re looking to trade cryptocurrencies, Pepperstone offers a handful of cryptocurrency CFDs to trade, including Bitcoin, Ethereum and Ripple.
Both FXCM and Pepperstone allow you to trade commodities like gold, silver and crude oil.
FXCM and Pepperstone both offer social trading, which is a modern approach to trading that allows you to follow like-minded traders, copy their trading activity, and engage in discussion around trading strategies.
If you trade forex, there’s a good chance you might want a broker that offers the popular MT4 trading platform. If that’s the case, both FXCM and Pepperstone offer this. Pepperstone also offer the new & improved MT5 platform. Our alternative broker, AvaTrade, also offers MT4 and MT5.
In addition to the platform, you’ll also want to ensure that the broker you choose offers the account type best suited to your needs. AvaTrade, for example, offer a mini account, standard account and VIP account.
If you have a certain trading style (e.g. scalping, hedging, or using EAs), you’ll want to double check that the broker you choose allows this, as not all of them do.
FXCM does allow scalping and hedging. While Pepperstone also allows scalping and hedging. You can trade with EAs (expert advisors) on both FXCM and Pepperstone.
In terms of risk management tools, FXCM doesn't offer negative balance protection, but Pepperstone does. Negative balance protection prevents you owing your broker more than you’ve deposited.
FXCM also offer stop losses, limit orders, and price alerts to help you automate aspects of your trading strategy.
FXCM accept Payoneer while Pepperstone accept Paypal.
Comparing the fee structures of different brokers can be a minefield at times. The important thing to consider is what the spreads & fees are on the specific instruments and account type that you will be using.
For trading EUR/USD, FXCM charges 0.30 points, while Pepperstone charges 0.00 points. Therefore, Pepperstone is the more affordable for this instrument. If you want to compare their spreads across more instruments, You can jump back up to our comparison of their currency pair & indice spreads above.
Another consideration is whether or not your broker charges inactivity, deposit/withdrawal fees, or commissions on trades. If you’re a frequent trader, inactivity fees are unlikely to be an issue.
There’s no such thing as a perfect broker, but some are going to be a better fit for you than others.
Objectively, FXCM is more reliable based on our criteria above. Pepperstone has a wider range of instruments to trade. Pepperstone offer lower spreads on popular forex instruments like EUR/USD and are used by more traders.
Both brokers offer demo accounts, allowing you to test their platforms to see which is suitable for you. You can test drive their demos using the links below:
Finally, if you’re really not sure you can always use our free tool (takes 15 seconds) that will help you find a suitable broker based on your precise requirements here.